Rest Haven buyers settle union contract
The new owners of Schuylkill County's nursing home, Rest Haven, have settled a contract with 125 union employees.
AFSCME members on Thursday afternoon ratified the four-year contract with Investment 360 of Lakewood, New Jersey, by a 100-7 vote, said Karl A. Fritton, a Philadelphia attorney speaking on behalf of the for-profit company.The contract runs from Sept. 1, when the $10.9 million sale is expected to close, through Aug. 31, 2019.Fritton would not disclose details of the contract.Efforts to reach union representative Jo Waugh were unsuccessful.Several current and retired employees attended a public county commissioners' meeting on Wednesday to tell officials they were unhappy with new conditions under Investment 360.Among their concerns were an increase in family health insurance costs from $80 a month to $700, shortened work hours, and lack of job security.They were also upset that Investment 360 plans to change the name of the home.Commissioners told county Administrator Mark Scarbinsky to call the company to arrange talks.Later that day, Fritton said 90 percent of the jobs there would be filled by former county employees, and that hours, health insurance and job security issues "have all been reviewed and worked out with the union."Commissioners last August decided to sell Rest Haven, the county's 112-year-old nursing home in Schuylkill Haven, because it had been costing the county about $2 million a year to keep afloat.The 142-bed facility relies on Medicaid reimbursements to help pay the bills. But there's a $61 a day shortfall between the actual cost of care and the reimbursement.The county hired a Harrisburg law firm, Eckert, Seamans Cherin & Mellott, for $250,000 to handle the sale.Ten companies expressed interest, and the county by May had decided to sell the home to Nationwide Health Care Services of Brick, New jersey, for $12 million. But a few months later, Nationwide withdrew from the sale, and the county offered Rest Haven to Investment 360.